LOEWS CORP (L)
US5404241086 - Common Stock
We assign a fundamental rating of 4 out of 10 to L. L was compared to 140 industry peers in the Insurance industry. While L is still in line with the averages on profitability rating, there are concerns on its financial health. L has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year L was profitable.
L had a positive operating cash flow in the past year.
L had positive earnings in 4 of the past 5 years.
L had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of L (1.81%) is comparable to the rest of the industry.
L's Return On Equity of 9.13% is in line compared to the rest of the industry. L outperforms 48.92% of its industry peers.
L has a Return On Invested Capital of 2.29%. This is comparable to the rest of the industry: L outperforms 58.27% of its industry peers.
L had an Average Return On Invested Capital over the past 3 years of 2.15%. This is in line with the industry average of 4.09%.
The 3 year average ROIC (2.15%) for L is below the current ROIC(2.29%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.81% | ||
| ROE | 9.13% | ||
| ROIC | 2.29% |
ROA(3y)1.6%
ROA(5y)0.96%
ROE(3y)7.87%
ROE(5y)4.65%
ROIC(3y)2.15%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 9.03%, L is in the better half of the industry, outperforming 61.15% of the companies in the same industry.
L's Profit Margin has improved in the last couple of years.
The Operating Margin of L (14.34%) is better than 62.59% of its industry peers.
L's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.34% | ||
| PM (TTM) | 9.03% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5Y7.28%
PM growth 3YN/A
PM growth 5Y14.84%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), L is destroying value.
Compared to 1 year ago, L has less shares outstanding
The number of shares outstanding for L has been reduced compared to 5 years ago.
L has a better debt/assets ratio than last year.
2.2 Solvency
L has a debt to FCF ratio of 2.80. This is a good value and a sign of high solvency as L would need 2.80 years to pay back of all of its debts.
L's Debt to FCF ratio of 2.80 is in line compared to the rest of the industry. L outperforms 50.36% of its industry peers.
A Debt/Equity ratio of 0.50 indicates that L is somewhat dependend on debt financing.
The Debt to Equity ratio of L (0.50) is worse than 64.03% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 2.8 | ||
| Altman-Z | N/A |
ROIC/WACC0.32
WACC7.21%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 47.89% over the past year.
Measured over the past years, L shows a very strong growth in Earnings Per Share. The EPS has been growing by 24.34% on average per year.
The Revenue has grown by 12.60% in the past year. This is quite good.
The Revenue has been growing slightly by 2.45% on average over the past years.
EPS 1Y (TTM)47.89%
EPS 3YN/A
EPS 5Y24.34%
EPS growth Q2Q22.09%
Revenue 1Y (TTM)12.6%
Revenue growth 3Y7.8%
Revenue growth 5Y2.45%
Revenue growth Q2Q15.68%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next YN/A
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next YearN/A
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
L is valuated correctly with a Price/Earnings ratio of 12.01.
L's Price/Earnings is on the same level as the industry average.
L's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.76.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.01 | ||
| Fwd PE | N/A |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of L indicates a somewhat cheap valuation: L is cheaper than 64.75% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of L indicates a somewhat cheap valuation: L is cheaper than 68.35% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.22 | ||
| EV/EBITDA | 8.89 |
4.3 Compensation for Growth
The decent profitability rating of L may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.49
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
L has a yearly dividend return of 0.34%, which is pretty low.
L's Dividend Yield is slightly below the industry average, which is at 4.31.
Compared to an average S&P500 Dividend Yield of 2.40, L's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.34% |
5.2 History
The dividend of L has a limited annual growth rate of 0.03%.
L has been paying a dividend for at least 10 years, so it has a reliable track record.
L has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)0.03%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
3.97% of the earnings are spent on dividend by L. This is a low number and sustainable payout ratio.
L's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP3.97%
EPS Next 2YN/A
EPS Next 3YN/A
LOEWS CORP
NYSE:L (4/19/2024, 7:04:00 PM)
After market: 75.64 0 (0%)75.64
+1.8 (+2.44%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap16.81B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.34% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.01 | ||
| Fwd PE | N/A | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.49
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.81% | ||
| ROE | 9.13% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 14.34% | ||
| PM (TTM) | 9.03% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)47.89%
EPS 3YN/A
EPS 5Y
EPS growth Q2Q
EPS Next YN/A
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.6%
Revenue growth 3Y7.8%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y